Ahmed Abdelfatta, a car salesman in Sunnyvale, Calif., bought a 1,170-square-foot home for $675,000 in 2005. His mortgage was about $540,000, and he took out a second mortgage of $135,000 to cover the down payment.
Two years later, Abdelfattah, now 52, was laid off and could no longer make his house payments. The bank foreclosed on his home.
After a house has been sold in foreclosure, according to California law, owners with loans like Abdelfattah's are protected from being pursued for...Full Story